Many alumni and friends choose to support Carnegie Mellon by contributing assets other than cash. Appreciated securities, residences, vacation homes and other real estate, and personal property such as works of art, coin collections and antiques can be gifted to Carnegie Mellon. Donors who contribute such assets receive significant tax advantages while helping Carnegie Mellon sustain and advance its tradition of excellence in education and research.

Ways to Save — Appreciated Securities:

Typically, the gift given to Carnegie Mellon most often, other than cash, is that of appreciated securities — stocks and bonds whose value has greatly increased over time.

You may choose to make your gift to Carnegie Mellon through publicly held securities rather than cash. This provides you extra tax advantages:

• you receive the regular charitable income tax deduction if you itemize your taxes
• you avoid paying tax on the capital gain
• you may claim a tax deduction for the market value — rather than the purchase value — of the securities if you have owned them for more than 12 months

Using Gifts of Appreciated Securities to Generate Increased Income:

You may choose to give securities to Carnegie Mellon and receive income during your lifetime and/or the lifetime of a designated beneficiary. The tax advantages vary according to the plan you choose. Many alumni have found significant advantages in contributing appreciated securities that were generating low dividends to Carnegie Mellon, and using that gift to establish a life income plan that provides them with an annual stream of income at a substantially higher rate than the securities were paying.

Limit on deductibility:

The ceiling on the deductibility of your gift of appreciated securities is 30 percent of adjusted gross income (AGI). However, you may carry over any excess as a deduction for as many as five succeeding years.

Closely held or restricted stock:

Making a gift to Carnegie Mellon of closely held or restricted stock generally affords the same benefits as gifts of listed securities. Because closely held or restricted stock requires special handling, please contact us for information.

Transferring Appreciated Securities:

You may gift appreciated securities to Carnegie Mellon either by mailing the stock certificates to us or by electronic transfer by your broker or bank. Call us for information and specific instructions.

Ways to Save — Real Estate:

Gifts of real estate (such as your home, a vacation home or other property) may be a way for you to simultaneously help Carnegie Mellon and reduce your own tax burden. By giving such real estate to Carnegie Mellon, you may be able to substantially reduce the amount of income, capital gains and estate taxes that you might otherwise have to pay. You can even give your home, vacation home, farm or ranch to Carnegie Mellon but continue to reside in it. To find out more about the possibilities and benefits of contributing real estate, contact us at (412) 268-2017 for personal and confidential attention.

You may also want to look in the "Donor Profiles" section of this site to read how Al Checco, A1947, has used gifts of real estate to name the rehearsal room in the Purnell Center as well as directing part of the remainder to establish an endowed scholarship fund in his name

Ways to Save — Tangible Personal Property:

Artwork, rare books, jewelry, antiques and coin collections are examples of a class of property known legally as "tangible personal property." Many individuals are surprised to learn that such property may be subject to capital gains and estate taxes. If such property has no sentimental value that would make it dear to your family or heirs, you may want to consider donating it to Carnegie Mellon.

If such property is related to Carnegie Mellon's tax-exempt educational mission, you may receive a charitable income tax deduction for the full fair market, appraised value of the property.

• If such property is not related to Carnegie Mellon's tax-exempt educational mission, you could receive a charitable income tax deduction equal to the cost basis.
• In both instances, the potential exists to substantially reduce or avoid capital gains and estate taxes on the property.

To find out more about the possibilities and benefits of contributing tangible personal property, contact us at (412) 268-2017 for personal and confidential attention.

You may also want to read the "Donor Profiles" section of this Web site to read about Lucian Caste's, A1950, gift of rare photographs and memorabilia of Andrew Carnegie to the Carnegie Mellon Archives.

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